Wesdome Gold Mines Ltd.

Q2 2026 revenue was $267 million. Net income was $94 million, or $0.64 per share; adjusted EPS was $0.65 per share after a $2.3 million impact from nonrecurring payments. EBITDA was $170 million, net cash flow from operating activities was $88 million, and free cash flow was $42 million, or $0.28 per share, versus $53 million, or $0.35 per share, in Q2 2025. Consolidated AISC per ounce of gold sold was $17.63 US. Eagle River produced 22 thousand ounces in the quarter at 9.7 g/t, while Kiena produced more than 22 thousand ounces, up 28% year over year, at just over 11 g/t. The company closed the quarter with $391 million of cash and roughly $746 million of liquidity, and the balance sheet remained debt free. Guidance was reaffirmed for full-year production and costs. Eagle River full-year production guidance remains 105 thousand to 150 thousand ounces, but average grade guidance was lowered to 11.5 to 12.5 g/t from 13 to 14 g/t. Depreciation and depletion guidance was reduced to $100 million from $130 million. Full-year consolidated capital could track up to 10% higher than the initial $205 million guidance, mainly because of timing of growth spending at Kiena. Management expects quarterly free cash flow to increase significantly in the second half, Eagle River AISC to be lower in the second half, and Kiena to remain within guidance even as growth capital and sustaining capital shift through the year.

Anthea Ingrid Bath framed the quarter as evidence that Wesdome has changed fundamentally, pointing to stronger cash generation, longer mine lives, and a more flexible operating base. Her tone was optimistic but deliberate: she emphasized that the 8-year reserve plans are a platform, not a ceiling, and that the company is now focused on converting exploration and operating improvements into per-share value. She repeatedly stressed disciplined execution, capital discipline, and a willingness to be selective on capital allocation and external opportunities.

Philip Chow Yee highlighted the hard financial results: $267 million of revenue, $94 million of net income, $0.64 EPS, $0.65 adjusted EPS, $170 million of EBITDA, $88 million of operating cash flow, and $42 million of free cash flow. He noted the free cash flow comparison was affected by the timing of a $21 million prepaid tax installment, and said quarterly free cash flow should increase materially in the second half. He also pointed to a $391 million cash balance, roughly $746 million of liquidity, a debt-free balance sheet, and a shareholder-return program that included more than $80 million of buybacks, a new quarterly dividend at an annualized rate of about $0.12 per share, and an expanded buyback authorization up to 6% of shares outstanding. On costs, he said Eagle River AISC was just over $2,000 US per ounce sold and should improve in the second half, while Kiena AISC was $14.97 US per ounce sold, driven by higher contractor costs supporting Presqu’ile development.

Analysts focused on three areas: buybacks, Eagle River grade guidance, and Kiena ramp-up. On buybacks, management said execution is reactive to market weakness and tied to trailing PNAV, with heavier buying when the gold price and share price dip; Philip also said the pace should slow if the stock keeps outperforming. On Eagle River grades, management said the lower full-year grade guidance reflects updated sequencing and bringing more global model ore into the plan, not a deterioration in the ore body, and they expect grades to improve in the second half. On Kiena, they said Presqu’ile should ramp gradually, with Q4 expected around 300 to 400 tons per day from Presqu’ile and 600 to 700 tons per day from Kiena Deep, reaching about 1,000 tons per day and continuing into 2027.